YOU GET WHAT YOU’RE WORTH TO US: WHY AMERICANS EARN WHAT THEY DO ON THE JOB

why the average

Ever wonder why the average American make the income that we do? Well, it’s complex, but also simplistic at the same time. Yes the complex part is the breakdown based on the person, the industry, the experience, the growth rate, the gender, ethnic gaps, and geographical location. But a very simple answer to why you make the money you do is based on the level of your title and your value to the organization. Your value to the organization is estimated by way of looking at how much money could they pay you by way of what you do that is of financial benefit to their company. You make $40,000, then you know what, that is your value to the company. You want more, then find a way to bring in more.

there’s got to be more

If you didn’t know any better you would think there is a catch to the whole thing. But there is no catch, looking at you and basing that off of pass performances of people in that role you are paid accordingly. And jobs know to a degree, what your input will be based off of your work. So if I give you $15 per hour, you will put in that much. Now, i I bump it to $20, you’ll work more, but there is a reason I don’t bump it. Because bumping will only make you work more because it was bumped more and not because of work satisfaction. And knowing this, here is where psychology comes into play. I know that paying someone $15, then moving it to $20 will be temporary. They will eventually get burned out with $20, and say we need $30, then $40, but what is enough. It becomes they are more dissatisfied because cost of living rises in addition to their pay. This is why you pay $15 minimum wage, then make them work on their own from there. So when you earn more, you got that bump from your own work and skill that you have to bring not a governmental initiative that focuses none on your skills. You are more of a company asset with skills.

how dare you

When you tell someone what they are worth, they are automatically on the defensive. But the reality is, you have to look at worth. Just because you feel you’re deserving of a certain pay, does not always mean you should make more. And that is a concept difficult for so many to understand, but true. We all have a value to whoever it is we’re working for, if you’re worth more, bring more into the business.